Dubai rental contracts head for a record. New-lease rents in its busiest areas are lower than a year ago
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What happened
On 5 November, fäm Properties reported that Dubai registered 339,557 freehold rental contracts in the first ten months of 2026, 6.8% more than in the same period of 2025. The record for a full year is 377,976 contracts, set in 2025. October alone had 44,841 contracts: 21,987 new tenancies (+3.8% year on year) and 22,854 renewals (+0.5%). One-bedroom apartments were 41% of all contracts. The busiest areas were Al Warsan First, Al Barsha South Fourth (Jumeirah Village Circle), Jebel Ali First, Business Bay and Marsa Dubai (Dubai Marina).
What the DLD data says
The report counts contracts. It does not say what the rent was. Three of its five busiest areas are areas we index, so we checked the rent index for new Ejari contracts there.
New-lease rent index, 2026 Q3 (mix-adjusted, Ejari new contracts):
| Area | vs 2025 Q3 | vs peak (2026 Q1) | Ready-sale price index vs 2025 Q3 |
|---|---|---|---|
| Business Bay | −13.6% | −18.9% | −0.8% |
| Dubai Marina | −13.0% | −18.3% | +12.4% |
| Jumeirah Village Circle | −8.8% | −12.9% | −1.0% |
- More contracts, lower rents. In all three areas, a new lease signed in 2026 Q3 cost less than one signed a year earlier, and 13% to 19% less than at the 2026 Q1 peak.
- Prices did not follow rents. Ready-sale prices in Business Bay and JVC are about where they were a year ago. In Dubai Marina they are 12.4% higher.
What a ready one-bedroom apartment sells and rents for (DLD medians, last 12 months):
| Sale | New-lease rent | Gross yield | |
|---|---|---|---|
| Business Bay | AED 1,450,000 | AED 90,000 | 6.2% |
| Dubai Marina | AED 1,575,000 | AED 90,000 | 5.7% |
| Jumeirah Village Circle | AED 985,000 | AED 71,000 | 7.2% |
These medians cover 12 months, so they include leases signed before rents fell. A lease signed today is likely to be below the median.
What it means
- A record count is not a record rent. More contracts are being registered, but in these areas new tenants pay less than a year ago.
- Recheck the yield before you buy to let. Prices held while rents fell, so the gross yield on a new purchase is lower than last year's figures suggest. In Dubai Marina the gap is widest. Use a current rent, then take off the service charge.
- Tenants have room to negotiate. With new-lease rents 9–14% lower year on year, an asking rent based on 2025 leases may be high.
Sources
- Arabian Business and Business News Week, 5 November 2026, citing fäm Properties (links above), for the contract counts.
- FairSqft analysis of Dubai Land Department open data (transactions and Ejari rent contracts) published on data.dubai, as of 26 October 2026. Method: https://fairsqft.com/method/